Eni, solid accounts despite the collapse of gas. Data for the first quarter of 2024
Eni in the first quarter of 2024 it recorded a pro forma adjusted operating profit of 4.11 billion euros, a adjusted net profit of 1.58 billion euros and a Net income of 1.21 billion euros. This was announced in a company press release.
“The scenario for the first quarter of 2024 was characterized by decline in natural gas prices (around -50% compared to the first quarter of 2023 the drop in the spot price at the main European hubs) – explains the company – which affected the results of our gas value chain, while the price of the reference crude oil Brent recorded substantial stability a 83 dollars a barrel on average over the quarter. Refining margins showed a recovery compared to Q4 2023, however decreased compared to Q1 2023.”
In such a scenario, Eni achieved “excellent results” which indicate “robust industrial management based on executive capabilities, growth, asset value and financial discipline”.
In the first quarter of 2024 the net cash flow from operating activities at adjusted replacement cost (before changes in working capital) of Eni was 3.9 billion, higher than the needs for the organic investments of 2 billion of Eurotherefore generating a free cash flow on an organic basis (free cash flow) of 1.9 billion.
The free cash flowexplains Eni in a note, it was used to remunerate shareholders through the payment of dividends and the repurchase of shares (1.2 billion euros in total) and to finance the strategic acquisition of Neptune Energy Group (2.3 billion) and renewable business assets in the USA (€0.2 billion), net of proceeds from the sale of the 7.6% minority stake in Plenitude to the EIP fund (approximately €0.6 billion) and non-strategic assets in E&P (€0.2 billion).
Net financial debt ex-IFRS 16 as of March 31, 2024 is equal to 12.9 billion euros; the leverage is equal to 0.23. In March 2024, the third of the four tranches of the dividend relating to the 2023 financial year was distributed, equal to 0.24 per share for a total of 0.8 billion euros.
The fourth tranche of the 2023 dividend of 0.23 euros per share is scheduled to be paid on May 22nd. As of March 5, 2024, the buy-back program 2023 was concluded with the purchase, in the period May '23 – March '24, of 153.5 million treasury shares for a total cost of 2,200 million euros (24.5 million euros of shares, equal to 363 million in the first quarter of 2024).
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